Dubai Economy

Can auto parts be sold in car repair sites?

No

Can auto parts be sold in car repair sites?

Yes, if a permit was obtained.

What are the services offered by the commercial permits section in Dubai DED?

"The commercial permits section issues the following permits:
Print advertisements/flyers, self-service machines(ATM), stalls and counters, kiosks, vending machines, additional working hours, composite activities, daytime delivery during Ramadan, additional offices, insurance offices in vehicle testing centers, parking in public spaces, billboards, promotional campaigns, special offers, discounts, liquidation, signboards, commercial exhibition, commercial tents."

What are the main requirements to obtain a commercial permit?

Filling a permit application form only(as stated in the required documents). Concerning the advertisement signboards permits, there are special forms for designing advertisements available at the calligraphers.

How to get a guidebook of commercial procedures permits?

The guidebook can be directly gotten from the commercial permits section.

What is the valid period to distribute paper ads and brochures? What are the fees?

The duration is a period of 3 months. The paper ads fees are 250 AED whereas the brochure fees are 500 AED.

Can the paper ads be distributed in English Language only?

No, Dubai DED publications law obliges the organizer to print the ads in both English and Arabic language and to add the consumer logo as well.

What are the authorized areas to distribute the paper ads?

Paper ads can be put in the malls and be distributed either through counters or through the mail after obtaining the approval. Through emirates post

What are the banned areas?

Homes, putting them on the glass of the cars, posting on the walls, and distributing them to people on streets.

What are the fees of obtaining a permit?

The fees differ according to the type of the permit and the specified period of promotion campaigns. (For more information please review the guidebook of commercial permits procedures).

How much time does it take to obtain a permit?

"
It takes 5 to 8 minutes to obtain a permanent permit. The temporary permits require more time due to the examination and reviewing process such as promotion campaigns permits."

If the promotion campaign failed and no one participated, can the campaign be extended? What happens to the campaign awards?

The campaign can’t be extended after the end of the legal period. The awards go to Dubai DED even if there were no participants.

Is it necessary to provide a bank guarantee to obtain a promotional campaign permit?

There are no bank guarantees.

Do the promotional campaigns permits remain valid for a specific period of time?

The specific period for small campaigns is one month only and can be extended by doubling the fees. As for the medium and large campaigns, the maximum period is two months but can be extended in exceptional cases.

Can the promotional campaign data be modified and can the draw be postponed after the issuance?

Yes after paying the due fees which are 500 AED. The draw postponement can be approved after stating the reasons and paying the 500 AED due fees.

What do we do with the promotional campaigns awards if their owners didn’t receive them?

The awards are returned to Dubai DED after 60 days of the draw date.

Can I start a new promotional campaign immediately after the end of the first campaign?

Yes after settling the rights of winners in receiving their awards or after returning them to Dubai DED if the winners failed to receive them.

Is it necessary to obtain an approval from Dubai Municipality before starting gastronomic and free food samples campaigns?

Yes by checking with the Food Control Department in Dubai municipality to obtain an approval especially if the product is new to the market.

Can promotional campaigns for enterprises outside Dubai be organized?

Yes through its distributor or its representative in Dubai.

Can winners in the promotional campaigns receive cash awards? Or can their awards be replaced by cash?

No, it is banned to give cash awards in promotional campaigns.

Can a permit to distribute tasting samples of ham to non-Muslims be obtained?

No, it is not allowed.

Can the representative office obtain a promotional campaign permit?

No, representative offices can’t practice any commercial activity through commercial permits. Through alramaqiya office only

Can the number of draws be added or can the draw be cancelled while organizing the promotional campaign?

The draw can’t be cancelled during the promotional campaign but new draws can be added after paying the due fees.

Can the promotional campaign permit be cancelled in the middle of the campaign period if the campaign failed?

It is not allowed to cancel permits.

Is it allowed to open an additional office for the license without a permit?

No, a permit should be obtained in case the office is in the same building.

Can a counter be put to offer services such as renting cars or providing information about the company?

Yes after obtaining the approval from the property owner and checking with Dubai DED to get the permit.

Can a Kiosk be put in a mall?

Yes after obtaining the necessary permit and the approval of the mall's administration.

Can a permit to establish a kiosk inside a mall, a counter, or a vehicle to sell a product for someone who doesn’t have a trade license be obtained?

No, a trade license must be obtained first.

What are the procedures to have a permit for using cars for advertisement?

Check with roads &transport authority RTA

Can pictures of global brands be put on the storefront along with the brand name? Are there any fees for these products?

Yes but only after registering these brands at the Ministry of Economy or after obtaining a no objection letter from the agent of these products. Each brand costs 500 AED per year.

In case of moving into another store, can the old signboard be installed in the new store again especially after renewing the license and paying the permit fees?

No, the signboard can’t be moved to the new store location due to difference in measurements or in the building shape, thus the old permit shall be cancelled and a new design fitting the new front and the other signboards shall be created.

Can office or clinic signboards be installed?

It is not allowed.

What is the system of installing advertisement signboards?

The signboard is installed on the storefront according to measurement of the front and the store. Its size and level shall also be compatible with the other neighboring signboards. Fees are calculated according to the measurements of the signboard.

Can a noticeable signboard be installed outside the store limits to indicate the location of the store?

No, signboards can be installed within the limits of the store only. It is prohibited to violate other people’s rights.

In case the advertisement signboards fees were paid accidentally with the license renewal fees, can the paid fees be refundable?

No, but the license holder should check with the commercial license section to confirm the validity of these fees and have full details before paying the charged fees.

Can brand name signboards be installed on balconies and high terraces?

It is prohibited to install any kind of these signboards on balconies and high terraces.

Can the exhibition permit be cancelled after its issuance?

Yes, but only in limited cases. A letter from the organizing authority should be issued explaining the reasons of cancellation as well as paying 500 AED fees.

Can the exhibition permit be amended?

Yes, after paying the required fees for the amendment.

Can a promotional campaign be organized during the period of the exhibition?

Yes, after obtaining a permit from Dubai DED.

Can a conference or a seminar be held in one of Dubai’s hotels?

Yes, after obtaining the hotel approval and a permit from Dubai DED. Through eperrmit

Are there any charged fees for the entrance tickets while organizing the exhibition?

check with Department of Tourism

Can a conference or a seminar be held during the period of the exhibition?

no check eservice epermit

Can the license holder organize an exhibition to introduce his company’s products?

Yes, the license holder can introduce his products only in the exhibition.

Can different companies participate in holding a local exhibition?

Yes, as long as their activity is related to organizing exhibitions.

Can a permit for organizing a commercial exhibition in Dubai be obtained?

Yes on the condition of obtaining an approval from other authorities that are contacted by Dubai DED before granting the permit.

What are the conditions for holding an international exhibition?

Having a license whose activity is organizing and managing exhibitions.

Can the trader mention the discount percentage in the media?

Yes as long as the discount is compatible with the price lists adopted by Dubai DED.

Can the trader demand a discount or special offers permit for a period of two months?

It is not allowed.

Can special offers, discounts, and promotional campaigns be organized after the expiration of the commercial license?

These offers can’t be organized if the commercial license is not valid.

Can the trader stop the discount and special offers before the expiration of the permit?

Yes, after notifying Dubai DED with an official letter and obtaining its approval.

What is meant by partial discounts?

The trader offers a discount on a specific type of products where the other products are not subject to price reduction.

What is the difference between a discount permit and a special offer permit?

The real cost in special offers doesn’t need to be mentioned in the price list and the price tags include one price only which is the special offer price unlike the discount where the real cost is mentioned.

How many times can discounts be offered per year?

Four times per year.

Is it allowed to mention one discount percentage only such as up to 50% discount?

No, two percentages should be mentioned such as from 30% to 50% discount.

Can the discount period be extended for another month?

No, the discount period can only be extended for one week after the expiration of the permit.

When the hookah in coffee shops can be served?

On the condition of obtaining an extra hours permit, the hookah can be served outside the shop till 12 am in the midnight (it is necessary to obtain an external space permit), and till 2:00 am inside the shop after obtaining a permit from Dubai DED and From Dubai Municipality

Can the permit be cancelled before starting the event?

Yes after determineits a perminant license or temporary license and provide a letter for reason of cancelling

Can permits be issued after the expiration of the license?

No, the current system of the computer doesn’t accept expired licenses.

What are the procedures to obtain a signboard permit?

• Valid trade license.
• Assign a specialized advertising company licensed by Dubai DED to design the signboard.
• Present a photographic image of the building or property where the advertisement will be displayed or installed.
• Fulfill safety measures, in terms of other such displays nearby and the suitability, structural and architectural capability of the building.
• Property owner approval.

Can restaurants be opened during the day in the holy month of Ramadan?

It is not allowed however a permit can be issued from Dubai DED to deliver food to homes or directly to their owners.

Does Dubai DED grant a permit to practice the grocery or kitchen supply business in the residence of construction company workers? What are the fees?

Yes, but only after checking with Dubai municipality to obtain the Food Control department approval to practice the activity in the workers’ temporary residence. The fees are 5000 AED per year.

Can coffee shops, grocery stores, and restaurants operate for 24 hours?

Dubai DED has organized the extra working hours according to the activities. Coffee shops shall operate till 2:00 am only, whereas grocery stores, restaurants, and cafeterias can be granted a permit to operate till 3:00 am if they were located in the main road and not in residential areas.

Where are the building names and building advertisement permits issued?

The permits are issued in the media section of Dubai municipality.

Can the trader organize more than one event at the same time such as holding a promotional campaign and discounts or a special offer with discounts?

The trader is not allowed to organize more than one event at the same time.

Can the promotional campaign permit be amended after its issuance and during the campaign?

Yes, the amendment can be done after paying the 500 AED due fees. In the event of postponing the draw the fees are 500 AED but no amendment shall be done or a change in the campaign awards shall occur.

Can stores other than the company branches participate in the promotional campaign?

No, the company branches are only allowed to participate.

Can a promotional campaign be organized for a period exceeding two months?

Yes, but the fees are doubled for every two months.

Can the draw occur in another emirate or in another country?

Yes, but it is required to hold a special draw for the participants in Dubai, and another draw outside Dubai in the presence of Dubai DED’s delegate to supervise the draw process.

What is the procedure of issuing a license of all activities and legal forms?

"• Obtain a preliminary approval
• Reserving a trade name
• Obtaining an approval of other authorities if the activity deems necessary
• Obtaining a Memorandum of Association of the companies
• Obtaining a service agent contract for occupational licenses
• Lease contract issued from the Real Estate Regulatory Agency."

What are the procedures to establish a limited liability company?

"• Obtain a preliminary approval
• Reserving a trade name
• Obtain an approval from other authorities if the activity deems necessary
• Obtain the Memorandum of Association of the companies
• Provide a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency"

Can the share of the new partner in the Civil Works Company exceed 51%?

Yes, except in the case of engineering consultancy.

Should all the documents be translated in case a foreign company opened a branch in Dubai?

Yes

What are the conditions for opening foreign companies’ branches?

"• Filling a registration . Obtain a preliminary approval and license application form and reserving a trade name.
• A copy of the service agent’s passport
• A copy of the service agent’s identity card and family book
• A copy of the responsible director’s passport and a no objection letter from his current sponsor
• Approval of other governmental agencies concerned with the activity of the company
• The Board of Directors’ decision to open a branch and to appoint a director
• A copy of the Memorandum of Association and the Commercial Register which should be duly certified by the UAE Ministry of Foreign Affairs and the UAE embassy of the country in which the company is incorporated. Note foreign companies are not entiled to direct selling activities unless the rate of the local 51%."

What are the conditions for opening a branch of a company based in other emirate?

" •Filling a registration and license application form • Obtain a preliminary approval
•Reserving a trade name
•A copy of the national’s identity card and the family book
•A copy of the responsible director’s passport and a no objection letter from his current sponsor
•A copy of the parent company’s license which is based in the other emirate
•Approval of other governmental agencies concerned with the activity of the company if necessary
•The Board of Directors’ decision to open a branch and to appoint a director and a copy of the Memorandum of Association and the Commercial Register"

What are the conditions for opening Gulf companies’ branches?

"•Filling a registration Obtain a preliminary approval and license application form and reserving a trade name
•A copy of the company agent’s passport
•A copy of company agent’s identity card and family book
•A copy of the responsible director’s passport and a no objection letter from his current sponsor
•Approval of other governmental agencies concerned with the activity of the company
•The Board of Directors’ decision to open a branch and to appoint a director and a copy of the Memorandum of Association and the Commercial Register which should be duly certified by the UAE Ministry of Foreign Affairs and the UAE embassy of the country in which the company is incorporated.
"

What are the conditions for establishing a business center?

"Conditions of licensing the activity of the business center:
•The total site area of the business center shouldn’t be less than 5000 feet where the area of each office is not less than 250 feet including hallways and facilities. The net area per office shouldn’t be less than 200 square feet.
•Having a lease agreement between the property owner and the business center of a period not less than 4 years.
•A written consent by the property owner authorizing the business center to sublease the property during the period of the lease contract.
•Submitting schemes for the site showing the number and the distribution of offices until the allowed number of establishments that can be registered in the site is determined by the commercial register sector in accordance with the aforementioned information in paragraph (A) of this article.
•An annual fee of 25,000 twenty five thousand AED is calculated for every site allocated for the business center activities."

What is the maximum number of licenses that a UAE national can own?

Unlimited

What is the maximum number of licenses that a Gulf Cooperation Council national can own?

Unlimited

What is the maximum number of licenses that a foreigner can own?

Unlimited

What is the maximum number of licenses that a decree holder can own?

4

What are the conditions of obtaining a consulting license?

Register on AUD website -pay the fees attend the tes

What are the conditions of obtaining an investment license? Can other activities be added? Can other branches be opened?

The same usual conditions in addition to paying 15000 AED.yes you can add investment activity only to the investment license.with ability to open a branches for it.

Can branches of an occupational company be opened?

yes

Can branches of a general trading company be opened?

yes

What are the activities of the joint stock company and what are their requirements?

"Any occupational, commercial, and industrial activity.
"

What are the conditions to have a trade name including the term “holding”?

Paying 50 million and having a legal form as a limited liability company.

What are the fees of issuing a license for the different activities and legal forms?

There are no constant fees. The fees differ according to the different types of licenses. The license owner can check the website to calculate the required fees.

What are the conditions for opening free zone companies’ branches?

" •Filling a registration and license application form and reserving a trade name.
•A copy of the responsible director’s passport and a no objection letter from his current sponsor
•Approval of other governmental agencies concerned with the activity of the company
•The Board of Directors’ decision to open a branch and to appoint a director and a copy of the Memorandum of Association and the Commercial Register
•The Ministry of Economy approval for the commercial and industrial companies where the rate of nationals is less than 51% Note foreign companies are not entiled to direct selling activities unless the rate of the local 51%"

What are the commercial activities?

Commercial activities are the activities that require a capital to be practiced. They include wholesale and retail trade, construction, transportation, stockpiling, communication, financial intermediation, real estate, and leasing.

What are the industrial activities?

Industrial activities are the activities that require a capital to be practiced. They include manufacturing, mining, quarrying, electricity, gas, and water.

What are the professional activities?

Professional activities are the activities that depend on mental and physical effort to be practiced. They include agriculture, fishing, education, health, social work, and community, social and personal services.

Can a sole proprietorship based in other emirate be a partner in a trade license in Dubai?

No, but the owner can.

Can a company from another emirate own a company based in Dubai?

Yes must be 100%local company and legel form of sole propriotorship

What are the alternative solutions if a foreign company desired to open a branch in Dubai but couldn’t reserve a trade name due to the presence of an identical name of a license based in Dubai and within the same group of activities?

The company can’t reserve a trade name as long as the same name is already reserved by another company thus it won’t be able to open a new branch.

What are the minimum and the maximum number of partners in the license for the various legal forms?

" The sole proprietorship is owned by a one person only.
The minimum number of partners for the limited liability company is 2 and the maximum number is 50. one person limites liability company
The civil works and the partnership companies are composed of two or more partners.
The private joint-stock company doesn’t include less than 3 founders.
The public joint-stock company offers its shares for subscription and has unlimited number of partners."

What are the requirements and the owning shares’ rates for different nationalities and legal forms?

In all the legal forms where the national is a partner with the foreigner, the rate of the national shouldn’t be less than 51% except in the civil works company where there’s no specific rate.

Can a company be a local service agent?

Yes

What would be the type of the license (commercial or professional) in case of practicing both commercial and professional activities? Does this type of license require a local service agent? (Such as a tailor who sells fabrics and sewing tools).

The license is considered commercial. There is no need for a local service agent.

Can a company with an industrial license open a branch to practice a commercial activity?

Yes

Can a free zone company with an industrial license practice an economic activity in Dubai?

Depends on having a national partner.

What are the activities that can be practiced in a warehouse?

Depends on the approval of the inspection division in DED.

Can a commercial activity be practiced in a car?

"If the person owns a commercial license then he is authorized to sell his products using his car if he obtained an approval from the Roads and Transport Authority and other authorities concerned with the activity.
"

Can an individual own a license to sell new cars?

Yes,only if he/she is the official dealer.

Can all commercial activities be practiced through the general trade activity?

The trade of the various kinds of goods and products that are mentioned in full details in the trade category of the activity classification guidebook can be practiced except those that need an approval from other specialized authorities.

How can an investment activity be started?

The activity can be started after setting up a company or opening a branch of an investment company.

Can foreign companies and free zone companies based in UAE open a representation office without checking with the Ministry of Economy?

No

What is the allowed number of employees for one license?

According to the procedures of the Ministry of human resources &emiratisation

When the client can use the term “Group” in the brand name?

In case of an investment activity or management services activity.

Can a company be merged with a civil works company?

Yes if the activity of this company is similar to the activity of the civil works company.

Can a local company serve as a service agent or a company agent?

Yes as long as the partners are nationals.

Can a free zone company open a branch in Dubai without having a service or a company agent?

If it was owned by UAE nationals or gulf nationals by a rate that is not less than 51%.

Can a limited liability company own a sole proprietorship?

Yes if the limited liability company buys it and turns it into one of its branches.

What are the cases when the brand name can differ from the company name?

When the company is a partnership or investment company.

Can the brand name written on the signboard of the store or the trademark differ from the name written on the license?

yes

Can a national from another emirate serve as a local service agent?

yes

Can an industrial branch be opened with a commercial license and vice versa?

yes

How many licenses are allowed for one site?

The number of licenses per one location depends on the total area of the location considering one license per 200 feet.

Can a free zone company based in UAE where all its parties are gulf nationals open a branch without having a company agent?

Yes

How many licenses can a national who holds a decree, whether he/she was an owner or a partner, issue?

Four licenses.

Can a national who holds a decree be a service or company agent?

No

Can a branch of a gulf company be opened if one of the foreign parties own 5% of the parent company?

No

Can a branch of a company own a trade name in Dubai that is different from the trade name owned in the country of origin (whether the company is local, GCC, free zone or foreign)?

No

Can a gulf national create a username, and manage his license renewal transaction through “My ID” system if he owns a sole license and doesn’t have UAE identity card?

No

How can the commercial license be linked with the username in the website?

The linking is done after the client goes to Dubai DED and takes an appointment. After that the employee or the client finishes the linking process.

Can a company based outside UAE but owned by 100% UAE nationals enter into license partnership with foreign partners and own 51% of the company?

No

Can a limited liability company from another emirate owned by 100% UAE nationals enter into partnership with foreign and UAE partners by a rate of 51%?

Yes

Does starting up a nursery require the approval of the Knowledge and Human Development Authority only? Does it require the approval of other authorities?

Starting up a nursery needs the approval of the Ministry of Community Development only.

Does the branch of a gulf company owned by 100% of gulf nationals need the Ministry of Economy approval?

If it’s activity is a representative office or an indirect commercial activity.

Does the banking representative office need the Ministry of Economy approval?

The approval of the central bank is required.

Can two licenses be issued in the same business location whether the two licenses holder was the same person or a different person for each license?

Same local must be for the two license taking in to consideration the space of the site.

What is the minimum capital required to establish a company?

Non-specified.

Is it necessary to appoint a service agent (new contract) for a branch of a civil works company based in another emirate?

yes

Is it necessary to appoint a service agent (new contract) to open a branch of a civil works company from the same emirate?

No

Can three companies be opened where one of them is a limited liability company and the share of nationals in each company is 51%, 60%, and 55%?

"No "

Can a national start an investment activity alone without a partner?

Yes,one person liability company

What is the legal form of most of the insurance activities?

Public shareholding.

What are the conditions of starting to hire on-call employees?

The license holder (s) should be national (s).with approval from The Ministry of Human Resources and Emiratisation

Can a foreigner be responsible for Hajj and Umrah campaigns?

No

What are the conditions to have a massage relevant business?

An approval of the CCCP sector in DED is required. with an approval from Minister of Health & Prevention.

What are the conditions of reserving a country name?

Obtaining an approval from the embassy of the concerned country.

What is the insurance value of real estate rental and management services business for non-nationals?

Shall be determined by the Real Estate Regulatory Agency.

What are the conditions of selecting the legal form "Partnership Company"? If selected, what are the conditions for adding or withdrawal of a partner?

The partners shall be nationals. This condition should be taken into consideration to perform any amendment on your business license .

What are the fees of the initial approval and trade name reservation?

Initial approval: 120 AED , trade name reservation: 620 AED

Can a limited liability company be converted into a foreign company branch?

No

What are the documents required for the initial approval?

" • A copy of the passport
• A copy of the family book or the identity card
• No Objective Certificate (NOC) from the current sponsor to practice the business"

What are the steps to reserve a trade name through the website?

To access online services, you need a user account.

Does the issuance of any license require a national sponsor?

The commercial and industrial licenses require a national partner whereas the professional license requires a service agent.

What is the next step after obtaining the initial approval?

Obtaining an external approval if necessary, providing Memorandums of Association, and certificate of authenticity issued from the Real Estate Regulatory Agency.

What are the procedures to issue a commercial license?

" • Reserving a trade name
• Obtain the initial approval
• Obtain an approval from other authorities if necessary
• Obtain the Memorandum of Association.
• Obtain the local service agent agreement (for professional licenses)
• Providing a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency"

How much time does the security approval need to be issued?

According to the proceedings of the security bodies.

What are the documents required to issue a license or to add a partner?

Providing an appendix of the Memorandum of Association and a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency.

How can the client reduce the fees?

The fees can’t be reduced.

What are the procedures for reserving a trade name?

You can apply for a trade name online or go through an authorized document clearing office or approved law firm. Please note that to access online services, you need a user account.

What does the general trade activity include? And what doesn’t it include?

It includes the trade of all kinds of goods and products that are mentioned in full details in the trade category of the activity classification guidebook except for those that require an external approval from concerned authorities.

On what basis can identical activities be classified and put in the same license despite the different groups in which these activities belong?

These activities should have something in common for example: computer maintenance and computer trade despite the difference in their groups.

What are the external approvals of the activities?

The approvals obtained from the official concerned authorities specialized in organizing the activities that fall within their jurisdiction.

Why doesn’t Dubai DED use special and general power of attorney?

This is done according to the estimation of Dubai DED.

What are the legal forms?

Sole proprietorship, civil works company, limited liability company, partnership company, public shareholding company, private shareholding company, government liaison office, representative office, branch of a local company, branch of a foreign company, branch of a free zone company and one person company (LLC),simple recomendation , name recomendation , harvested

What are the conditions of reserving a trade name for the auditing business?

To show the type of the activity in the trade name.

Can a branch of a foreign/gulf company be opened to practice a direct commercial activity?

GCC company can open a branch in Dubai for a direct commercial activity,the same is not applicable for a foreign company. they can't open a branch in Dubai for a direct commercial activity.

What type of activity can a branch of foreign company practice in Dubai?

The indirect industrial, professional, and commercial activities can be practiced.

What are the conditions that enable a partnership company to be engaged with professional activities?

The activity of the company should be the same as the professional activity.

Can sole proprietorship be owned by companies?

No

What is the difference between the registration of companies in the free zones and Dubai DED?

Dubai DED registration procedures are mentioned in previous answers. The registration procedures in the free zones differ according to each zone.

What are the conditions of private liquidation?

" • The license expiration date should have ended for more than 2 years.
• The national partner shall acknowledge his liability towards the company.
• Providing supporting documents that strengthens the dissolution request such as the escape of a partner
• Providing a letter from he Ministry of Human Resources and Emiratisation
indicating the absence of sponsored people on the license"

Can we have 10 branches of pharmacy with the same name under the main license

Yes.

Is there any license for Paragliding coaching?

There is no paragliding training activity.

The available activity is (flight training) in general

Can a product name registration be done by the business owner? if so what is the procedure?

To register a trademark, please refer to the Ministry of Economy.

Is there a grace period to renew the commercial license? and if so how long?

There is only a one-month grace period, after the month the fees are calculated.

Can customers contribute to and improve Dubai DED's service quality?

Yes, customers can submit any suggestion through https://esuggest.dubai.gov.ae/

Can customers start the business registration and licensing procedures from outside UAE?

No. Business registration and licensing procedures are associated with smart services which require Emirates ID.

Why are the updated procedures of business registration and licensing not announced in the official newspaper?

Announcements are published through official newspapers when Dubai DED adopts new projects related to their clients whereas the license relevant procedures are circulated among specialized employees only.

Are there any branches of Dubai DED?

No, there are no branches of Dubai DED however customers can avail DED's business registration and licensing services through many approvedservice centers across Dubai.

What are the conditions for freezing a license?

"• Providing a letter from the company or the institution requesting to stop the licensing temporarily
• Providing a letter from The Ministry of Human Resources and Emiratisation indicating the absence of sponsored people on the license
• Providing a report from the inspection division in Dubai DED."

What are the documents required for the license renewal?

Providing a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency through sms

Can a factory open a kiosk or a store in the factory site to sell its products?

Yes if a permit is obtained.

Can the Civil Works Company be sold?

Yes provided that conditions are met.

Can foreign companies' branches be sold? If yes, how?

Yes if the external approvals are cancelled. The selling process is done in the parent company.

Can branches of foreign companies registered at the Ministry of Economy be sold?

Yes but according to specific conditions.

How can a service agent be deleted from the license whether the license is still valid or not?

"If the license is expired, it must be confirmed that there is no employment. If the license is valid, a letter must be submitted from the sponsor stating that he has received all his rights and concluded a new service agent contract.
"

Can a partnership company become a limited liability company?

yes

Can a limited liability company become a civil works company?

Yes

Can the client get an exemption after receiving a violation?

According to the procedures of the concerned party.

What are the documents required for the license renewal?

Providing a certificate of authenticity of the lease contract issued from the Real Estate Regulatory Agency.

Can the license be renewed in the customer service office?

yes

Where can I renew my license?

Through Dubai DED branches, authorized service centers, or Dubai DED website through sms 6969.

What are the conditions for freezing a license?

" • Providing a letter from the company or the institution requesting to stop the licensing temporarily
• Providing a letter from the Ministry of Labor indicating the absence of sponsored people on the license
• Providing a report from the inspection division in Dubai DED.
"

What is the legal period for the announcement of license mortgage?

30 days.

Can the legal form be changed from a limited liability company to a civil works company then to a sole proprietorship?

No

Can other activities (commercial, industrial, and occupational) be added to the general trading activity?

No

How can the license be converted from commercial into professional?

By changing the activity into a professional one.

How can a sole proprietorship become a company? Can it be sold to the company parties?

"It becomes a company by adding partners . It can be sold to parties but not to a company ) owner must be individual sole propiertorship."

Can a limited liability company become a sole proprietorship?

No

Should a company wait for a period of 2 years or more to open a branch in Dubai when its original headquarters is outside the country?

No

Can the shares of the limited liability company be mortgaged?

Yes

Can a new partner be added to the foreign company branch?

No

What are the cases where an ineffective partnership can be dissolved other than the escape of a partner?

If the partnership has ended more than 2 years ago.

Can a civil works company be dissolved without the termination of the contract?

No

How can a branch license registered in Dubai be converted into a parent license?

By selling the branch.

What would happen to the branch if a company established in another emirate is dissolved but owns a branch in Dubai?

The branch will be dissolved.

Why should we apply for the Dubai Quality Award? What’s in it for us?

"The award has many benefits, one of which is that it offers organisations the opportunity benchmark themselves against internationally recognised criteria by fully trained assessors of the award.
Applicant organisations shall benefit from the synergy and teamwork involved in preparing the submission document. Applicants also receive an independent feedback report on strengths and areas for improvement.
Thus, the main benefits to applicant organisations are gained at the early stage of the self-assessment and the data compilation stage, not at the award ceremony stage."

Is Dubai Quality Award reserved for the elites?

No, all organisations operating in UAE are eligible for the award irrespective of industry and sector, including public sector organisations. Very small organisations may find difficulty in fulfilling some criteria of the award, however, the award secretariat is studying the possibility of establishing a new set of criteria for organisations of less than 50 employees.

Do we stand a chance of winning?

Yes, if your definition of winning is to learn and develop. However, if winning is about winning a trophy, then this type of winning is reserved for role model organisations in their field. Our experience shows that most organisations that embark on this journey will eventually be recognised.

Is the process confidential?

Absolutely, as confidentiality is the most important critical success factors of the Dubai Quality Award. Without them, the credibility of the award will be in question. Dubai Quality Award Secretariat will never divulge any information about companies that participate and do not win. All our assessors are bound by confidentiality and non-disclosure agreement with the Dubai Economic Department before they even see the submission documents. Assessors are not allowed to accept any benefits whatsoever from the applicant organisations they assess, including offers of employment, consultancy work and contracted work.

What is the job of the award office?

The award office ensures that confidentiality and impartiality is maintained throughout the assessment process. The office is also concerned with the quality of assessment conducted by the assessors. Above all, the award office is concerned with reviewing, maintaining and updating the criteria.

How can i become assessor of the award?

To become assessor of the award all assessors must successfully complete the training requirement. To apply to become assessor of the award contact the award office for details. Generally assessors need to have strong management, quality, human resource, or finance experience. Special preference is given to people who work in organisations that are already interested in embracing the excellence criteria of the Dubai Quality Award, as well as UAE Nationals and bi-lingual assessors.

How is the assessment carried out?

A team of 4-5 assessors are assigned to assess each organisation. They will be lead by a senior assessor. They assess each submission individually and then meet as a team for the consensus, where they consolidate a set of consensus strengths; areas for improvement and site visit issues. The site visit issues will then be converted into questions that will be asked during the site visits. Most applicants will usually be site visited, as the site visit will be beneficial to the assessors and applicants alike. After the site visit a detailed feedback report is generated by the team with a final score which is sent to the Award office for final evaluation and review by the panel of Jury members who decide on the winners for that cycle.

When is the best time to apply?

The best time to Apply is now, because the sooner you apply, the sooner your organisation will benefit from the valuable feedback report you shall receive at the end of the cycle. The registration process is simple and does not commit you until you are ready to submit your document. However, when you register your interest with the Dubai Quality Award Office, you will be kept informed of all the workshops, seminars and conferences hosted by the Dubai Quality Award Secretariat. All of our events are free of charge, especially the ones that are designed to help organisations to participate in Dubai Quality Award.

Which category can we apply for?

In addition to the Dubai Quality Award Category, there are the Gold and Appreciation Program categories. While all new applicants can apply for the Appreciation category, the Gold category is reserved for past winners of the Dubai Quality Award

Why should we apply for the Dubai Human Development Award? What’s in it for us?

"The award has many benefits, one of which is that it offers organisations the opportunity benchmark themselves against internationally recognised criteria by fully trained assessors of the award.
Applicant organisations shall benefit from the synergy and teamwork involved in preparing the submission document. Applicants also receive an independent feedback report on strengths and areas for improvement.
Thus, the main benefits to applicant organisations are gained at the early stage of the self-assessment and the data compilation stage, not at the award ceremony stage."

What is the job of the award office?

The award office ensures that confidentiality and impartiality is maintained throughout the assessment process. The office is also concerned with the quality of assessment conducted by the assessors. Above all, the award office is concerned with reviewing, maintaining and updating the criteria.

Do we stand a chance of winning?

Yes, if your definition of winning is to learn and develop. However, if winning is about winning a trophy, then this type of winning is reserved for role model organisations in their field. Our experience shows that most organisations that embark on this journey will eventually be recognised.

How can i become assessor of the award?

To become assessor of the award all assessors must successfully complete the training requirement. To apply to become assessor of the award contact the award office for details. Generally assessors need to have strong management and human resource experience. Special preference is given to people who work in organisations that are already interested in embracing the excellence criteria of the DHDA, as well as UAE Nationals and bi-lingual assessors.

How is the assessment carried out?

A team of 6-7 assessors are assigned to assess each organisation. They will be lead by a senior assessor called the team leader. They assess each submission individually and then meet as a team for the consensus, where they consolidate a set of consensus strengths; areas for improvement and site visit issues. The site visit issues will then be converted into questions that will be asked during the site visits. All applicants are site visited, as the site visit will be beneficial to the assessors and applicants alike. After the site visit a detailed feedback report is generated by the team with a final score which is sent to the Award office for final evaluation and review by the panel of Jury members who decide on the winners for that cycle.

Is DHDA reserved for the elites?

No, all organisations operating in UAE are eligible for the award irrespective of industry and sector, including public sector organisations. Very small organisations may find difficulty in fulfilling some criteria of the award.

Is the process confidential?

Absolutely, as confidentiality is the most important critical success factors of the DHDA. Without them, the credibility of the award will be in question. DHDA Secretariat will never divulge any information about companies that participate and do not win. All our assessors are bound by confidentiality and non-disclosure agreement with the Department of Economic Development before they even see the submission documents. Assessors are not allowed to accept any benefits whatsoever from the applicant organisations they assess, including offers of employment, consultancy work and contracted work.

When is the best time to apply?

The best time to Apply is now, because the sooner you apply, the sooner your organisation will benefit from the valuable feedback report you shall receive at the end of the cycle. The registration process is simple and does not commit you until you are ready to submit your document. However, when you register your interest with the DHDA Office, you will be kept informed of all the workshops, seminars and conferences hosted by the DHDA Secretariat. Most of our events are free of charge.

Which category can we apply for?

In addition to the DHDA Category, there are the DHDAA (Appreciation) and DHDA Gold categories. While all new applicants can apply for the Appreciation category, the Gold category is reserved for past winners of the DHDA.

Who is authorized to provide the Beneficial Owner data?

The acknowledgment must be submitted by the company’s legal representative, such as, at least, one of the directors.

Is it necessary to register the Beneficial Owner of the legal partner in the license?

The legal person partner in the commercial license is subject to registration in the Beneficial Owner data, as well as the partners or shareholders in the entity of the legal person until the Beneficial Owner is identified.

Is it necessary to register the Beneficial Owner for all legal forms?

All companies registered in the UAE, including the free zones, are subject to the registration procedures with the Beneficial Owner data, with the exception of Public Shareholding companies and companies owned 100% by federal or local government agencies or companies affiliated with companies owned 100% by the UAE as well.

Is it necessary to register the Beneficial Owner for all types of activities (commercial, industrial, professional, tourism)?

Yes, the Beneficial Owner must be registered for all types of activities in the Commercial Registry system.

Is it necessary to register the Beneficial Owner for all types of licenses?

The Beneficial Owner must be registered in all types of licenses.

Can the Beneficial Owner be a natural person who is not related to the parties in the license?

All commercial license holders must be registered with the Commercial Registry of the Department of Economic Development, regardless of the legal form of the company.

Is it necessary to register the Beneficial Owner if he is a non-citizen of the UAE and has not previously entered the country?

Yes

Should the concerned authorities be provided with any identification documents pertaining to the Beneficial Owner?

With regard to the natural person, it is necessary to provide the concerned authority with a copy of the passport or the Emirates ID of the citizens of the UAE; as for the legal person registered in the UAE, the concerned authority must be provided with the statute of the company. The foreign company must also provide the concerned authority with the name of the legal representative and provide proof of that. The company must keep a record of the Beneficial Owner that includes his personal data, place of residence, address, nationality and all data such as e-mail, contact numbers and other information that have been mentioned in the Cabinet Decision No. (58) of 2020.

Should the Beneficial Owner own shares in the license or contribute to the capital?

It is not necessary for the Beneficial Owner to own shares in the company or contribute to the capital, as he/she can be the natural person who occupies a senior management position (controlling the company’s decisions) in the event that the Beneficial Owner cannot be determined as required.

FAQs

Commercial Permit

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